The G-20 Response To The Global Economic Crisis-Part VI

This is the sixth and concluding article on the outcome of the Meeting of the G-20 Heads of State, in London, on the 2nd of April, to discuss the effects of the global economic crisis, and a suitable response to it.

Building an inclusive, green, and sustainable recovery:

The G-20 conceded an important point, that less developed countries have been lamenting about, for a long time-that the economic policies of the rich and the industrialized countries ignore the concerns of the poorer countries.

The G-20 recognized the fact that the current economic crisis has a more damaging effect on the poorest countries, that are practically defenceless, in dealing with the contagion of economic recession hitting them forcefully.

In order to meet these challenges, the G-20 resolved to do the following:

1. To fulfill their committments under various international conventions to fund activities related to promotion of trade, debt relief, etc.
2. To channel funds to the tune of USD 50.00 billion to low income, and developing countries, for the purpose of social protection, to increase trade, and safeguard development.   It is expected that by providing social protection under appropriate schemes, the problems of social unrest, violence, etc., can be contained.
3. To deploy necessary resources to the poorest countries to address the problems of food security and social crises.   Social security is a live and vital issue in several parts of the world that needs to be addressed, as it is a basic requirement.   Further, it is observed that several other efforts like educational initiatives, etc., recieve a setback on account of the food security issue.
4. To utilize the proceeds of the sale of the IMF gold, and surpluses in income to put together a concessional and flexible finance scheme of about USD 6.00 billion, to aid the poorest countries in their developmental efforts.   The IMF has been advised to place before the G-20, a viable and practical proposal in this regard.
5. To rejig programs of international aid and development, to make them more flexible and easier to access by the intended beneficiary countries.   The IMF and the World Bank have been advised to actively engage in this work.
6. To seek the active cooperation of the United Nations Organization, to establish a mechanism to monitor the effects of the economic crisis on the poorest of the countries, that are indeed more vulnerable to its impact.
7. The G-20 laid special emphasis on the human dimension of the current crisis, especially the impact on the poorest and most vulnerable sections of society.
8. Education and training, and job creation would be among the basic tasks to be undertaken to tackle the problems of economic deprivation.   In the long run, such investments would have a salutory effect in combating economic and social crises, especially in the poorer countries that are prone to such problems.   Involving multilateral and international agencies in this task would bring more competence and transparency to the job.
9. The G-20 committed itself to “building a resilient, sustainable, and green recovery”, through judicious utilization of funds meant for fiscal stimulus programs.
10. To move towards a cleaner and greener future, by promoting appropriate technologies that are innovative and environment-friendly.   To work in partnership with international institutions to establish sustainable economies.
11. The G-20 reaffirmed its committment to play a positive role in facing up to the problems of climate change, and its attendent consequences.

Finally, the G-20 committed itself to the realization of the various proposals and promises into tangible results.   It would pursue the various issues with sincerity and determination to take them to their logical conclusion.   A result-oriented approach would be undertaken to convert words into actions.

                                                                                                             Concluded